The company achieved revenue of 156 million yuan in the first half of 2023, an increase of 9.08% over the same period last year. Among them, revenue for the second quarter of 2023 was 90.1264 million yuan.
Revenue improved markedly from month to month, and the future is expected to benefit deeply from IoT trends. The company's revenue for the second quarter was 90.1264 million yuan, up 31.08% year on year; while revenue for the first quarter was 6559.09, up 37.41% from the first quarter compared to the first quarter. Sensors, on the other hand, are the core data entry point for the Internet of Things. The development of the Internet of Things is driving the popularity of smart terminal devices and driving the increase in demand for MEMS. According to the company's semi-annual report, citing statistics and forecasts from the Global Mobile Communications Systems Association GSMA, the global number of IoT devices was 12 billion in 2022, and is expected to grow to 24.6 billion units by 2025, and maintain a compound growth rate of 12.7% from 2019 to 2025.
The company created a second growth curve to reduce its dependence on the consumer market. The company closely monitors the market demand for new products and gradually expands new tracks such as automobiles and micro differential pressure. Lingke Sensing, a wholly-owned subsidiary of Minxin, has put into use a new automated production line for MEMS, oil-filled, and glass-filled automotive pressure sensors to meet the growing demand for sensor localization. We have received orders from customers for front-loading systems for projects such as braking systems and smart seats. Among them, the glass microfusion pressure sensor project has been verified by a number of OEMs/system suppliers.
In terms of wearable pressure sensor projects, waterproof barometers and waterproof differential pressure gauge products have been supplied to top domestic consumer brand customers.
Profit forecasts and investment recommendations. We expect the company's corresponding EPS to be -0.15/0.52/1.15 yuan/share in 23-25, respectively. Considering the valuation level of comparable companies, a 23-year PS valuation range of 9.5-10 times, corresponding to a reasonable value range of 61.78-65.03 yuan, was given a “superior to the market” rating.
Risk warning. Product market promotion fell short of expectations, new business expansion fell short of expectations, and market competition intensified.